Term
Open Interest
The total number of outstanding derivative contracts (not yet closed or settled).
Type:
derivatives
trading
1
basic
Open interest measures active participation in derivatives markets. Rising open interest with rising price may confirm trend strength; divergences can signal caution.
Example 1.1
"BCH price rises alongside growing open interest in futures—momentum may be supported by new positions."
Related Terms
Options
→Derivatives granting the right, not the obligation, to buy (call) or sell (put) an asset at a specified strike price by a certain date.
derivatives
trading
Futures
→A derivatives contract to buy or sell an asset at a predetermined price at a future date; in crypto, perpetual futures (no expiry) are most common.
trading
derivatives
All terms and definitions may update as the Cryptionary improves.
